Wednesday, August 24, 2011

Occupational Licensing Gone Wild: In Chicago, You Need a License To Help Others Get a License

NCPA -- "Restrictions on who can and cannot practice a certain profession have increased significantly in recent years (see chart above). Occupational licensing — the most onerous restriction — requires people to pass tests and meet other criteria before they can practice a trade. It is a barrier to employment, disproportionately affecting low-income and immigrant workers, and frequently benefiting established practitioners by limiting competition from new entrants.

Many jobs could be performed by unlicensed individuals at a lower cost, without sacrificing safety or quality. Licensing decreases the rate of job growth by an average of 20 percent and costs the economy an estimated $34.8 billion to $41.7 billion per year, in 2000 dollars,reports the Reason Foundation."

MP: Here's how we know that occupational licensing has gone too far in America:

In Chicago (since 2009), you need an official "expediters license" to help other people fill out paperwork to get a different city license (or a city permit or certificate). In other words, the occupational licensing process has gotten so complicated and time-consuming, that you need to hire a expediter to help you get a license to operate a business, and that expediter needs a license to help you get a license..... Kinda makes your head spin....

Not to worry. The Obama administration has promised to get rid of regulations that "don't make sense". I'm sure the city of Chicago will take a cue from its favorite son, and implement the same culture. There....I feel better about it already.

"Cosmetologists defending their occupational turf doesn’t contribute measurably to the wealth gap but physicians, lawyers, physical therapists, optometrists and other higher-end professions defending their turf does. Just one more example of how the rich and privileged wield the coercive power of government to stay rich and privileged."

And yet another reason why the rich and privileged should pay more to support the government that protects them preferentiallly.

"And yet another reason why the rich and privileged should pay more to support the government that protects them preferentiallly."

As always you have this wrong. the "rich and privileged" already pay more, not only in higher taxes, but in larger contributions to the campaigns of their favorite politicians.

While I don't agree with occupational licensing in any form, I don't believe, as you seem to, that the "rich and priviledged" such as "physicians, lawyers, physical therapists, optometrists and other higher-end professions" are for some reason underserving of their higher incomes and wealth.